Alcohol Set To Get Dearer In Maharashtra With Sharp Hike In Excise Duties — Check Details
Premium foreign liquor brands have seen the most hike, with a new rate set to bring the minimum retail price to Rs 360.
Alcohol is set to get expensive in Maharashtra after the state government decided to raise excise duties. This applies to both retail purchase from a liquor store and consumption in a restaurant or bar.
The state cabinet, chaired by Chief Minister Devendra Fadnavis on Tuesday, approved measures to increase the revenue of the Excise Department. These initiatives are expected to boost the department's annual revenue by approximately Rs 14,000 crore.
Premium foreign liquor brands have seen the most hike, with a new rate set to bring the minimum retail price to Rs 360. The excise duty on Indian-made foreign liquor with a declared manufacturing value up to Rs 260 per bulk litre will increase from three times to 4.5 times the manufacturing value. While the excise duty on country liquor will rise from Rs 180 to Rs 205 per proof litre.
Due to changes in excise duties and the minimum retail prices formula, the minimum retail prices for 180 ml bottles will be as follows:
Country liquor: Rs 80 (Rs 70)
Maharashtra-made liquor: Rs 148 (new)
Indian-made foreign liquor: Rs 205 (Rs 110-115)
Premium foreign liquor brands: Rs 360 (Rs 210)
Apart from increase in excise duties and the minimum retail prices, the cabinet also approved fee hikes for the annual license for outlets that operate on lease through agreement.
An extra 15% will be charged for sealed foreign liquor retail licences (FL-2) and 10% for hotel and restaurant licences (FL-3).
Maharashtra-Made Liquor
The cabinet further granted approval to introduce a new category of grain-based foreign liquor called Maharashtra-made liquor. Only Maharashtra-based liquor manufacturers will be allowed to produce this, and they must register new brands for this category.
New Divisional Office, AI-Based System To Monitor Distilleries
The cabinet has also formed a secretary-level study group to explore ways to enhance the department's revenue. The group studied liquor manufacturing policies, licensing, excise duties and best practices from other states, submitting its recommendations and reports to the government.
Based on these, the cabinet approved a revised organisational structure for the Excise Department and the establishment of an integrated control room. This control room will use an AI-based system to monitor distilleries, liquor manufacturers and wholesalers across the state.
Under the revised structure, a new divisional office will be set up in Mumbai city and its suburbs. Additionally, one new superintendent office will be established in each of the six districts: Mumbai suburbs, Thane, Pune, Nashik, Nagpur, and Ahilyanagar.
To strengthen the department, approval was granted for 1,223 posts, including 744 new positions and 479 supervisory roles.
